An official of the Bago-based Myanmar Shoe Dynasty shoe factory has said that 250 labours will be out of a job because they are no longer receiving orders.
The official told the labours that they had been told about the termination of their work on the evening of August 21, and that they had heard about it a month in advance according to the law
"It's not because they found guilty. These workers are terminated due to the low order conditions of the factory. They still have to work until September 18. We have informed the relevant labor offices about this situation," said a factory official during a meeting with the labours.
Before June, there were around 700 workers at the Myanmar Shoe Dynasty factory, but about 200 workers resigned because they were not paid more than 4,800 wages, a factory worker said.
There are currently around 500 labours, and the factory has said that 250 labours will be laid off.On August 21st, a factory official met and explained the layoff to 170 labours, said a female labour who was terminated.
"Labours from various departments of the factory were terminated from their jobs. From more than 3 months of service to more than a year. For those who have a service more than a year, they will pay a compensation equivalent for 1-month wages and half of that for those who have a service more than 6 months. They also said they will give in accordance with the law. They say things like that," said the female labour.
Another woman who was terminated from the factory told Myanmar Labor News that it is not fair to terminate the labours, and it is not clear what the policy is to choose the person to terminate the job.
"If the issue is related to NRC, we are the real ones. Why do those with fakes remain? I asked about those who have less than 3 months of service stay. They said don't ask such things. If it's because of a need or guilt, there is no openness too," he said.
It is reported that the labours of Myanmar Shoe Dynasty are only receiving 4800 wages until the end of their work. She said that she received between 16,000,000 and 230,000 kyats per month, along with other benefits.
“They said that if the orders are re-increased, the labours who have been terminated now will be given priority. They said they ordered supers and line supers. But it's hard to find a job because it's raining. It's been less than 6 months since I started working. If this is to be terminated, it should be mentioned in advance from the interview call. We want to work in a factory with good employment and integrity.”, said by a female labour who have over 5 months of service.
According to DICA information, the factory is owned by Myanmar Shoe Dynasty Co.,Ltd.The factory is located near Upper Zine Ga Nine Gyi Village, Bago City Bypass Road, Bago and manufacturing shoes and slippers with CMP system.
Although the company is listed as a joint venture (JV) company in DICA, the company's initial environmental assessment survey states that it is 100 percent foreign investment.ยยยAccording to the survey, the raw materials for the factory are imported from Japan and China, and the products will be exported to those two countries.